On Saturday (May 15), Charles Hoskinson, Co-Founder and CEO of IOHK, said Cardano’s slower, more thoughtful, academic approach to blockchain development mean that Cardano will be better than Ethereum for both app developers and users.
Hoskinson took to YouTube to explain to Cuban (and others) in a video what are some of the some of the things that make Cardano special. So, why was Hoskinson telling Cuban, who is the majority owner of the professional basketball team Dallas Mavericks, as well as one of the “sharks” on the highly popular reality show “Shark Tank”, about the benefits of Cardano?
It all started when Cuban posted the following Twitter thread to say for layer 1 and 2 blockchain platforms to be successful having just higher transaction throughput and lower transaction fees are not enough and “There must be a CURRENT network effect and significant user growth.”
Mark Cuban thread:
After Twitter user “@kryptojumpman” told Cuban that he needs to take a closer look at Cardano, Cuban replied that he had never come across a useful Cardano-powered application.
After another Cardano fan “@Crypto_fan_IN” told Cuban to review Cardano, Cuban sent a reply that suggested that he believes that $ADA has no/little utility due to lack of useful Cardano applications and lack of support for Cardano’s ADA token from crypto payment processor BitPay (which is the company that helps Cuban’s Dallas Mavericks to accept cryptoassets such as Bitcoin, Litecoin, and Dogecoin for a methods of payment for merchandize such as t-shirts).
This promoted Hoskinson to invite Cuban to his Colorado ranch. Cuban, however, rejected Hoskinson’s invitation, and asked Hoskinson to explain to him why he should use ADA on a daily basis.
This led Hoskinson to create the following video to explain what makes Cardano unique.
In this video, Hoskinson told Cuban:
“Last year, we achieved the first sustainable proof of stake system and that’s what Ethereum is attempting to do at the moment with Ethereum 2.0 and has failed. And many of the third generation systems are either inspired by or equivalent to what we’ve done…
“In terms of smart contracts, what we decided to do was rebuild the entire smart contract model. One because it’s not secure, and you can see that billions of dollars of customer funds have been lost because of insecure hacked apps. Two, it’s not sustainable. Cost predictability, the high gas fees that applications have, … is it sustainable to have an application where the transaction fee costs more than the amount of value being moved?“
He then went on to explain why Cardano had decided to not force application developers to use a single programming language.
Hoskinson also mentioned that Ethereum’s ecosystem is losing its steam and that it does not have the developer mindshare that it once had:
“Most app developers, when polled, especially the top 50, top 100, either have plans to be multi-chain or have already decided to start migrating to different chains because of cost and quality concerns while being on Ethereum... Despite the fact that we still haven’t turned on smart contracts with the system, there’s already actually dozens of DeFi applications that have come out [saying they] want to move into our ecosystem or new ones that are being founded in our ecosystem, which has well worth more than a million people just in the traditional Western world.”
The views and opinions expressed by the author, or any people mentioned in this article, are for informational purposes only, and they do not constitute financial, investment, or other advice. Investing in or trading cryptoassets comes with a risk of financial loss.